THE BLOG
02/04/2013 01:14 pm ET | Updated Apr 06, 2013

World Economic Forum Ended, Crisis Will Continue

One more World Economic Forum meeting ended in Davos, Switzerland and business pages are full of statements, opinions and suggestions by the business and financial architects of the world. This event which takes place every year this time; its main agenda is to discuss and propose solutions to political, financial, humanitarian and other problems of our societies but unfortunately, it almost took place unnoticed by the general population.

Such an important gathering of the best business, economic and political brains trying to find solutions to our major problems could be of great significance, but the past few years that is not the case. Davos, as well as other similar forums such as, G7, G8, G20, Bilderberg, etc., fail to attract the attention and enthusiasm of the public due to their ineffectiveness and inability to produce tangible results of problem solving.

Once more, none of the participants in that forum gave any optimistic assessment about economic recovery, remedies to the ever ballooning national debts, the unstoppable unemployment, the environmental deterioration and poverty alleviation despite the fact that these problems are man-made and ironically, end-results of the decisions taken by the same architects who participate in these forums.

While broadcasting in front of cameras their present and future gleam prognostications, we must also ask them to answer why in the first place their actions brought us into this situation and why they keep failing to fix the problem that they created?

Words such as "economic prosperity" or "economic growth" have vanished from their vocabularies and instead, the words "crisis," "financial cliffs," "austerity measures," and "fiscal deficits" are becoming more popular in every economic forum.

Though these leaders are confusing us with complicated financial terminology, they cannot hide the reality that borrowing to finance national debts and protect greedy global bankers, who in effect took over our economies and drained the treasuries of cash, will not solve the problem but will further deteriorate it. This policy of making national treasury bills profitable and attractive to speculating investors does not compose a recipe for strong economy.

It is incomprehensible for most of us how debt papers turned out to become qualified as the most lucrative business in the money markets!

As soon as these debt papers, which became popular investment heavens during the '80s, reached their peak in the '90s -- when we practically brought the safety box of our treasuries to be gambled to the highest bidder in the money markets -- matured in the 2000s, exploded violently, resulting to defaults in payments, bankruptcies, unemployment and necessitated the rush borrowing to support emergency rescue packages.

In effect, they practically surrendered sovereignty of our treasury departments and allowed the money owners to act like "financial weapons of mass destruction" and wreck havoc on our national economies with these policies.

Undeniable proof to this is the fact that the lenders today are neglecting governments' economic forecasts and give more credibility to private agencies like "Standard and Poor", "Moody's" and "Goldman and Sachs" to determine the upgrading or downgrading of global economies.

Analyzing today's beleaguered economies, we can easily discover that the failure of our political leaders to regulate the financial institutions, helped create monstrous banking giants who ultimately took control of the global "cash faucets" and now they are dictating economic policies to governments which eventually, regulate our ways of living. In short, they helped the bankers to become our global bosses.

Despite the catastrophic results of such faulty policies, it is incomprehensible to use the same stupidity in borrowing money at very high cost to support defaulted economies, and impose harsh austerity measures on entire populations just to collect money to pay back the speculators of the juicy debt papers.

Adding insult to injury, policymakers instead of protecting the citizenry, they designed policies friendly to multi-trillion wealthy bankers and asking the suffering population to sacrifice more, accept less pay and benefits for their jobs and pay higher taxes.

While bankers and high-profile economists are largely to be blamed for the present crisis, our politicians contradicting their promises for better management of the economy seek financial advices from the same bankers who caused the crisis.

It's indeed very frustrating for the suffering citizenry especially the unemployed to keep listening to knowledgeable experts alongside key business and political players in every economic forum that the "crisis is not over." Ironically these are the same people who ignored the deafening alarms of the "endangering" the economy and instead of taking protective measures they accelerated borrowing until reaching insolvency.

The fundamental question remains whether our leaders understand that the present economic system cannot continue indefinitely on this unsustainable path without major adjustments.

A lowly-paid skilled carpenter finds ways to repair furniture, a mechanic can repair a damaged car, a veterinarian can even treat an ailing animal and so on but, our high-profile and dearly compensated bankers, business moguls, politicians etc., have failed miserably proving to us that they deserve their impressive titles and high-value qualifications.

Given the present turbulent status of the global economies, these under-performing political and economic leaders can earn the title as the creators of "chronic economic illness."

Had our business and political architects not invented markets for the money owners in the national economies, that money could have ended up reinvested in different private sectors of the economy, achieved genuine economic activities, create job opportunities and reduce the pressures for big government borrowings.

Nevertheless, even at this messy financial turmoil, we must not forget the fact that our problems are created by humans and can be solved with manmade solutions. All it takes is instead of listening to the creators of this crisis who are none other than our corrupt and blurred vision politicians, we must provide them with hearing aids and tell them loudly to stop acting as market development agents of the money owners.

In my view, if we act decisively now, we can still repair our damaged economies.